Why Do Many People Prefer to Buy Credit Rather Than Pay Cash?

[Suba]

I meet many people out there who prefer to buy credit or pay in installments over several years rather than saving first and then buying by paying cash, especially for types of goods that are considered expensive by some people such as buying a house, car, motorbike, etc.
In fact, if we buy credit, the price is almost twice as much as we buy cash. So in your opinion, why do people prefer to buy credit rather than buy with cash?

 

[eLdavis]

I know someone who is also like this, i can't really say why though, I believe there are several reasons as to why this might be happening. One of them might simply be impatience. They are not willing to wait till they have the money to purchase what they want.

 

[Nomad]

A lot of people are under false impression that buying on credit is something like getting it for free. They forget that they have to ultimately pay.

 

[Springtime]

I usually pay by credit card for cashback and other discounts. If I pay my credit card bill on time, I do not have to pay any interests. I seldom pay cash for purchasing nowadays.

 

[Starmix]

I always buy in cash. I don't advocate buying in credit, It's a waste of money. The charge might be too high. It's better to save first then buy in cash with a happy feelings.

 

[Augusta]

People like to buy on credit as it does offer an enviable convenience and allow them to afford larger items now and pay later

 

[Fire&Rain]

I prefer cash. I have a bad habit of calculating how much i end up paying if i go the credit route and that its self diverts me to paying cash.

 

[King Belieal]

Some people just have a penchant for debts and can withstand the pressure that comes with being a debtor. Not me though.

 

[Stardom22]

Of course yes buying in credit terms and more especially the hire purchase terms, leads us to paying extra to the extent of twice the normal prices. However nowadays people find it hard to save and accumulate large sums of money to make cash purchases for assets like vehicles, houses among others.

 

[Augusta]

You can spread the cost of purchases. You can buy something now and spread the cost over several months.